Research a neighborhood before making an offer on a home

 

Over the past few years, the real estate market has been a “seller's market,” meaning there are more buyers than homes for sale. 

Unfortunately, many buyers enter into contracts to purchase a home before doing their due diligence. This has led to buyer remorse for more than a few people. 

A recent report found that fifteen percent of Millennial homebuyers were disappointed by the location of their new homes.

Before you commit, remember that a home extends far beyond the walls of the physical house. When you purchase a home, you buy into an entire neighborhood and the surrounding community.

Gathering neighborhood information goes a long way toward ensuring many years of happiness in your new home.

Getting around

While home may be where the heart is, we must go to work, school, shopping, and other activities.

Step number one, then, is to ensure the homes you like are in areas with convenient roads, access to highways and freeways (if you commute), and good public transportation for yourself and your children.

Drive around the neighborhoods and take a test drive to work during rush hour. Neighborhood information is invaluable when buying a home.

Schools

Even if you don’t have children, schools are vital in choosing neighborhoods because of their dramatic effect on home prices and resale value. The local school district should be able to provide you with information, including:

• average class size

• percentage of students who graduate

• percentage of students who go on to college

Go online to the various school ranking sites for test scores, district and school boundaries rankings, and more. Head to schooldigger.com and greatschools.org.

You may also want to visit local schools to see if they are in good condition and if teachers seem competent and motivated.

Community life

Every neighborhood has its unique feel. Informed home buying involves spending some time in the neighborhoods you are considering so you can decide which is a good fit for you. Here are a few ideas to help you get a feel for a neighborhood:

• Check out the closest hospitals, houses of worship, museums, parks, sporting fields, and theaters.

• Find out if the neighborhood has a community association with guidelines you must follow.

• Learn about exciting organizations you may want to participate in, such as a community theater, 4-H club, or historic trust.

• Have lunch in local restaurants and cafes.

• Shop in local stores, especially the supermarket.

• Take a walk around the neighborhood and chat with people you meet.

• Test your cell phone for area reception.

Neighborhoods and crime

Crime is up across the country. If this is a concern to you, a little research will help to ensure that you are considering homes in safe neighborhoods:

• Contact the local police department for a history of crime in the area and crime statistics.

• Examine the neighborhood for signs of vandalism or neglect.

• Scan crime-tracking websites, such as spotcrime.com, neighborhoodscout.com (there is a fee)

• Learn more about crime tracking for specific neighborhoods at areavibes.com and safewise.com.

Utilities

Utilities are an often-overlooked factor in choosing a house to buy. The type of utilities available in a neighborhood will affect your budget and quality of life.

• Does the house use a sewer, cesspool or septic system?

• Is the house hooked up to town or well water?

• See if your prospective neighborhood is connected to natural gas or if its homes are heated by electricity, oil, propane, or solar energy.

• Will you be cooking on a gas or electric stove?

• Don’t be afraid to ask the seller about the average cost of her water, gas, electric, and sewer bills.

To avoid regret with your purchase, it pays to take a bit of time to consider the neighborhood and surrounding community before making an offer to purchase.